Elliott Investment Secures Enough Shares To Call Special Meeting At Southwest Airlines Amid Leadership Dispute: Report
Elliott Investment Secures Enough Shares To Call Special Meeting At Southwest Airlines Amid Leadership Dispute: Report
Ahead of the scheduled meeting on Sept. 9, Elliott Investment Management has secured enough shares to call a special meeting at Southwest Airlines (NYSE:LUV).
在9月9日的预定会议之前,艾略特投资管理公司已经获得足够的股份来召集西南航空(纽交所代码:LUV)的特别会议。
What Happened: Elliott Investment now holds 10% of Southwest Airlines' common stock, enabling the hedge fund to call a special meeting at the airline, reported Reuters, citing a person familiar with the matter.
据路透社报道,艾略特投资目前持有西南航空10%的普通股,使得对冲基金能够召集航空公司的特别会议。
The development comes just days before a scheduled meeting between the two parties to address issues that have led to Southwest's stock losing about half its value over the past three years.
就在两个团体安排的会议前几天,这一发展事态来解决过去三年导致西南航空股价下跌了约一半的问题。
Elliott, managing $70 billion in assets, has demanded the removal of CEO Robert Jordan and Executive Chairman Gary Kelly, and plans to nominate 10 directors to the airline's 15-person board.
艾略特是一家管理着700亿美元资产的基金公司,他们已经要求撤换首席执行官罗伯特·乔丹和执行主席加里·凯利,并计划提名10位董事加入航空公司的15人董事会。
Despite converting enough derivatives into common shares to cross the 10% threshold, Elliott's overall economic stake remains unchanged. Jordan, who has been CEO since 2022, has stated he will not resign and is prepared to contest Elliott's demands.
尽管将足够的衍生品转换为普通股以超过10%的门槛,但艾略特的整体经济持股不变。自2022年以来担任首席执行官的乔丹表示,他不会辞职,准备对抗艾略特的要求。
Elliott has indicated to other shareholders that it is ready to take further steps, including calling a special meeting, unless the company agrees to discuss leadership changes. Special meetings, used to solicit shareholder votes on urgent matters, are rare and would mark a significant escalation in Elliott's campaign since its interest in Southwest became public in June.
艾略特已向其他股东表明,除非该公司同意讨论领导层变动,否则它将采取进一步的措施,包括召开特别会议。特别会议用于就紧急事项征询股东投票意见,这在艾略特于今年6月公开表达对西南航空的兴趣以来,标志着艾略特运动的显著升级。
Southwest has been attempting to improve its image and stock price by adding seats with more legroom, moving to assigned seating, and appointing a new board member in July.
西南航空一直试图通过增加更宽敞的座位、改为指定座位和任命一个新的董事会成员来改善形象和股票价格。
However, according to the report Elliott has criticized these measures as too little, too late. Southwest's stock price has dropped significantly, from $41 billion in 2017 to $17 billion now, according to Elliott's research.
然而,根据艾略特的研究报告,艾略特批评这些措施为为时已晚。根据艾略特的研究,西南航空的股价从2017年的410亿美元下降到目前的170亿美元。
Southwest Airlines and Elliott did not immediately respond to Benzinga's request for comment.
西南航空和Elliott未立即回复Benzinga的评论请求。
Why It Matters: This move by Elliott Investment Management is part of a broader strategy by the hedge fund to exert influence over its investments. Recently, Elliott has been active in various sectors, including online dating, e-commerce, and airlines. For instance, in August, Elliott raised its stakes in companies like Etsy Inc. and American Airlines Group Inc.
为什么重要: Elliott投资管理的这一举动是对其投资进行影响的更广泛策略的一部分。最近,Elliott在包括在线约会、电子商务和航空公司在内的各个领域都很活跃。例如,今年8月,Elliott增加了其在Etsy Inc.和American Airlines Group Inc.等公司的持股。
However, Elliott's internal dynamics have reportedly been shifting. The hedge fund has undergone restructuring, leading to a significant exodus of senior employees. At least nine former staffers have launched their funds since 2021.
然而,据报道,Elliott内部动态已经发生了变化。这家对冲基金进行了重组,导致大量高级雇员的离职。自2021年以来,至少有九名前员工成立了他们自己的基金。
Southwest Airlines has also been proactive in defending itself against Elliott's maneuvers. In July, the airline activated a "poison pill" strategy to counter Elliott's growing influence. This limited-duration shareholder rights plan was implemented in response to Elliott's 11% stake.
西南航空也一直积极捍卫自己来对抗Elliott的行动。该航空公司在7月份启动了“毒丸”策略,以应对Elliott日益增长的影响力。这项有限期权证的股东权益计划是针对Elliott持有的11%股份而实施的。
Price Action: Southwest Airlines closed at $28.92 on Monday, up 0.63%. Year to date, the stock has gained $0.44, marking a 1.54% increase, according to data from Benzinga Pro.
股价走势: 西南航空周一收盘价为28.92美元,上涨了0.63%。截至目前,该股票今年以来上涨了0.44美元,增幅为1.54%,根据Benzinga Pro的数据。
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Photo via Wikimedia Commons
照片通过Wikimedia Commons
This story was generated using Benzinga Neuro and edited by Kaustubh Bagalkote
本报道使用Benzinga Neuro生成,并由Kaustubh Bagalkote